Are My Trust’s Bank Accounts Fully Insured? Part 3

Recently we have been receiving questions from our clients about the amount of Federal Deposit Insurance Corporation (FDIC) insurance coverage their revocable trusts have on their bank accounts. This article is the third article in a series of blog posts written to explain the current FDIC deposit insurance rules, and in particular how they apply to trusts. You can find the first article on the fundamentals of FDIC insurance here: Are My Trust’s Bank Accounts Fully Insured? Deposit Insurance for Irrevocable Trust Accounts Irrevocable trust accounts are deposit accounts held in connection with a trust established by statute or a written trust agreement in which the owner (also referred to as a Grantor, Settlor or Trustmaker) contributes deposits or other property to the trust and gives up all power to cancel or change the trust. An irrevocable trust also may come into existence upon the death of an owner of a revocable...